Category: AP News Feed

NEW YORK (AP) — Wall Street held steadier Monday and recovered some of its sell-off from last week, as stocks swept up in the artificial-intelligence boom bounced back. Oil prices, meanwhile, rose following fighting between Israel and Iran, but they pared their biggest gains.

The S&P 500 added 0.3%, coming off a drop of 2.6% from Friday that was its worst since October. The Dow Jones Industrial Average dipped 80 points, or 0.2%, and the Nasdaq composite climbed 0.9%.

Some of the best performers were companies that sell computer chips, memory and other products fueling the AI boom. They had plunged Friday amid worries that their prices had shot too high due to AI euphoria. Such worries dragged South Korea’s Kospi index down 8.3% early Monday, pummeling tech stocks there like Samsung Electronics and SK Hynix.

But prices recovered as trading moved westward through Europe to New York. Micron Technology rose 9.9% after sliding 13.3% Friday for the largest loss in the S&P 500. That resumed a run where its stock has more than tripled so far in 2026.

Marvell Technology climbed 9.6% in its first trading after S&P Dow Jones Indices said the semiconductor company’s stock has grown enough to join its widely followed S&P 500 index. Marvell’s stock has also more than tripled so far this year, aided by a 32.5% surge in one day last week. That was its best day since it began trading in 2000, and it came after Nvidia’s CEO, Jensen Huang, suggested at a conference in Taiwan that Marvell could be “the next trillion-dollar company.”

That such a comment could add billions of dollars to a company’s value in an instant suggests to critics that AI stocks are running too hot. Chip and memory companies are indeed reaping big growth in revenue and profit because of the AI boom, but their stock prices have been soaring at astounding speeds. A widely followed index of semiconductor stocks surged nearly 85% for the year so far through Thursday, for example.

Now, the question is whether Friday’s drop was the start of a downturn or just a pause that helps shake out excessive optimism.

Michael Wilson, a strategist at Morgan Stanley, is relatively optimistic. “Markets rarely move in a straight line at the pace seen since the March lows,” he wrote in a report. “In our view, a correction was inevitable and ultimately healthy if this bull market is going to extend into year-end” and pull the S&P 500 to his baseline target of 8,000. That would be an 8.3% rise from Friday’s close.

Corning climbed 5.6% after Amazon announced a multibillion dollar deal where Corning will produce optical fiber, cable and other products for its data centers across the country.

That helped offset a 0.9% dip for Campbell’s, which reported a stronger profit for the latest quarter than analysts expected but also a worse decline in revenue. The company’s stock is also set to drop out of the S&P 500 index when Marvell Technology’s stock joins it.

All told, the S&P 500 rose 21.99 points to 7,405.73. The Dow Jones Industrial Average dipped 80.77 to 50,786.01, and the Nasdaq composite gained 220.23 to 25,929.66.

In the oil market, prices jumped after Israel and Iran launched strikes against each other, threatening to drag the region back into full-scale war. The price for a barrel of Brent crude oil, the international standard, briefly topped $98 overnight.

But it later regressed after Israel and Iran appeared to back away from further strikes. Brent’s price settled at $94.25 per barrel, up 1.2% from Friday.

High oil prices caused by the war with Iran have already sent inflation higher, which increases not only bills for households but also yields in the bond market. High yields worldwide recently have threatened to slow economies and undercut prices for stocks and all kinds of other investments.

On Monday, Treasury yields ticked a bit higher following their jump on Friday. The yield on the 10-year Treasury edged up to 4.56% from 4.55%.

In stock markets abroad, indexes edged lower Europe following sharp losses in Asia.

Japan’s Nikkei 225 dropped 3.8%, while stocks fell 1.7% in Shanghai and 1.2% in Hong Kong.

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AP Business Writers Yuri Kageyama and Matt Ott contributed to this report.

NEW YORK (AP) — Six people were injured in a stabbing inside New York’s Penn Station on Sunday evening, authorities said, less than a day before thousands of fans are expected to descend on neighboring Madison Square Garden for Game 3 of the NBA Finals.

A suspect was taken into custody after the attack, which unfolded around 7 p.m. in one of the nation’s busiest transportation hubs. The sprawling rail complex beneath Madison Square Garden serves Amtrak, Long Island Rail Road, NJ Transit and New York City subway lines and is used by hundreds of thousands of commuters and travelers each day.

Paramedics found one victim with serious injuries, two with moderate injuries and two with minor injuries, according to the city’s fire department. All five were taken to Bellevue Hospital. Another person, whose condition was not immediately known, was transported to a separate hospital.

Authorities did not immediately release details about what led to the stabbing or whether the victims were targeted.

By late Sunday, the immediate chaos had given way to a familiar Penn Station scene. Travelers wheeled luggage past a roped-off area near Tracks 5 and 6 where medical gloves, discarded bandages and traces of blood still marked the floor.

The violence erupted as New York prepared for one of its biggest sports events in decades. Monday night’s matchup between the New York Knicks and San Antonio Spurs will be the first NBA Finals game at Madison Square Garden since 1999 and is expected to draw massive crowds to the arena.

President Donald Trump has said he plans to attend the nationally televised game, prompting extensive security involving the Secret Service, New York Police Department and other agencies around Madison Square Garden and the surrounding blocks. Authorities did not immediately indicate whether the stabbing would affect security plans for the game.

Amtrak police said they were investigating the stabbing and had taken a suspect into custody. Authorities did not immediately release the suspect’s identity or provide information about potential charges.

LOS ANGELES (AP) — A federal arson trial began Monday for the man accused of sparking last year’s deadly Palisades Fire as the area struggles to rebuild and the aftermath reverberates through the Los Angeles mayor’s race.

Jonathan Rinderknecht, 29, appeared in court for jury selection wearing a white shirt and blue tie, having pled not guilty to starting what became one of the most destructive wildfires in California history. Prosecutors say Rinderknecht started a fire on Jan. 1, 2025, and it burned undetected deep in root systems before flaring back up on Jan. 7.

The Palisades Fire ultimately killed 12 people and destroyed thousands of homes as it incinerated hillside neighborhoods in Pacific Palisades and the city of Malibu. Rinderknecht faces at least five years in prison if convicted of charges that also include malicious destruction by means of a fire.

Lead defense attorney Steve Haney has said Rinderknecht is being made as a scapegoat for the Los Angeles Fire Department’s failure to fully extinguish the Jan. 1 blaze. The trial is likely to take about two weeks.

A group of more than 80 potential jurors were sworn in Monday. Jurors will fill out a questionnaire and return to the courthouse Tuesday, where attorneys on both sides will have the opportunity to question them and dismiss ones they believe are unsuitable to be on the jury.

News of the trial drew mixed reactions from residents of the Pacific Palisades, who have spent the last year and a half tussling with insurance claims and red tape for building permits as they try to regain normalcy in their lives.

“It drums up all of the emotions over this past year and makes me think about all of the suffering and chaos of all of our neighbors and friends’ lives,” said Meghan Wald, whose home was among the few left standing in her block.

Palisades streets are now crowded with construction vehicles and workers, and charred trees have recovered their luscious green. But vacant lots abound, filled with weeds and wildflowers and the skeletal frames of homes. Of the more than 450 construction projects, only 17 homes have been certified for occupancy.

Wald and her family now live in nearby Brentwood, but she visits weekly to support the handful of businesses that have reopened, including her hair salon, her usual CVS pharmacy and the Palisades Garden Cafe, where her kids used to grab snacks after school.

“It’s great to see the shops that we know and love coming back,” Wald said. “It’s also hard to imagine what it’s going to be like. It will never be the same.”

The fire has been a central theme in incumbent Mayor Karen Bass ‘s reelection bid as she defends the city’s recovery process. Bass was in Ghana as part of a presidential delegation when the flames ignited. One of her challengers, reality TV personality Spencer Pratt, lost his home in the blaze and has made what he calls municipal ineptitude a central campaign message. It’s not yet clear if Pratt won enough votes in the primary to face Bass in November’s runoff election.

Judge Anne Hwang has ruled that the defense can’t introduce evidence or arguments about alleged negligence by the fire department, saying it was irrelevant and could confuse the jury.

Defense attorneys had planned to include testimony from a firefighter that the earlier fire was visibly smoldering when first responders left the scene. That was gathered as part of a lawsuit filed by fire victims against the city.

Haney said he also plans to argue that the government lacks solid evidence or witness testimony linking Rinderknecht to the first fire, and that first responders heard fireworks in the vicinity of where the blaze started.

Prosecutors say geolocation data from Rinderknecht’s phone shows that he was in the area of the fire as it rapidly grew, and investigators later seized a Bic barbecue lighter from his car that he admitted to having with him on the trail. They will claim he was upset about a failed relationship as well as thwarted plans for New Year’s Eve, and that he ranted to his Uber passengers that evening about being angry at the world, according to an April 29 pretrial memo filed by the U.S. attorney’s office.

Lena Loh, who opened a skin care clinic in the Palisades three months before the fire, said Rinderknecht’s prosecution gives her no sense of relief. She has been struggling to reopen and is looking to leave because she can’t sustain the business financially anymore.

“I don’t necessarily think putting him on trial is gonna fix anything,” she said. “This is a city issue. The city needed to manage that small speck of fire better.”

Harvard University professor Robert Coles, the psychiatrist and Pulitzer Prize-winning author who championed the cause of children grappling with poverty and segregation, has died at 97, his son said Sunday.

The son, also named Robert Coles, told The Associated Press that his father died Thursday at a hospice center in Lincoln, Massachusetts.

The elder Coles was famed for documenting the needs of children, particularly those caught in the crucible of social upheaval. The second and third parts of his five-volume “Children of Crisis” won him a Pulitzer Prize in 1973 for general nonfiction.

In a 1965 Washington Post essay, he wrote that, expecting to find many psychiatric problems among the children of poverty, that instead “I was constantly surprised at the endurance shown by children we would all call poor or, in the current fashion, ‘culturally disadvantaged.’”

“What enabled such children from such families to survive emotionally and educationally ordeals I feel sure many white middle-class boys and girls would find impossible?”

He would visit the same families repeatedly in order to get to know them well, and brought along crayons to allow the children he studied to draw pictures about their experiences and perceptions.

He received the Presidential Medal of Freedom in 1998. He also was one of the first recipients of a MacArthur Foundation “genius grant.” In 1999, a panel of judges ranked “Children of Crisis” as No. 44 on its list of the century’s 100 best English-language works of nonfiction.

The “Children of Crisis” books came out from 1967 to 1978. His first book focused on the effects of desegregation on children. The second looked at life among migrant workers, sharecroppers and others dwelling in mountain areas.

He subtitled the third volume “The South Goes North” as it focused on both Black and white Southerners who moved into urban areas in the North. The fourth looked at children of Native American origin, as well as Alaska Natives and Hispanic children. A fifth volume examined children of wealth and privilege.

His other books included “Their Eyes Meeting the World,” exploring the meanings of children’s drawings; “The Moral Life of Children,” “The Political Life of Children” and “The Spiritual Life of Children.” He also wrote books on psychoanalyst Anna Freud and reformer Dorothy Day.

While many of his books probed conditions in the United States, he also studied children around the world. In all, he wrote more than 50 books and hundreds of articles and essays.

Some of his peers found his work to be more that of a reporter and advocate than that of a psychiatrist or scientist.

“He’s a very good journalist who talks to kids sensitively and tells stories well,” the late Harvard professor Lawrence Kohlberg, a leading authority on moral development, told AP in 1986. “But no psychiatrist would take what he says seriously.”

He had gotten interested in children’s reaction to crises in the early 1960s while serving in the South as an Air Force doctor. He was particularly taken by Ruby Bridges, who was only 6 when she became the center of a storm of abuse as the first Black child in a previously all-white school in New Orleans.

“She demonstrated moral stamina; she possessed honor, courage,” he said in 1986. He even wrote a children’s book about her, “The Story of Ruby Bridges,” in 1995. (Ruby’s heroism also caught the eye of artist Norman Rockwell, who depicted her brave entrance into the school in his 1964 work “The Problem We All Live With.”)

Coles’ wife, Jane, helped out during the interviews with children.

“At first the children were frightened to death of us — they’d never had white people in their homes before,” Coles told People magazine. “But I began to throw away my questions. I threw away my necktie. I began to sit on the floor.”

The 1995 PBS documentary “Listening to Children: A Moral Journey with Robert Coles” showed him at work, interviewing a cross-section of American children and analyzing their drawings, as he had done in his books.

“A child is an opportunity and a moral challenge. How are we going to do justice to this new life with all its possibilities?” he said. “If we fail as parents, we are failing also as citizens.”

Coles held a longtime appointment as a research psychiatrist at Harvard’s University Health Services. In 1977, he was named professor of psychiatry and medical humanities, and in 1995, he was appointed as a professor of social ethics in the School of Education.

In a popular Harvard class he taught called the Literature of Social Reflection — jokingly called “Guilt 105” — he stressed that “we should look inward and think about the meaning of our life and its purposes,” he told People magazine in 1990.

Born in Boston, Coles went on to graduate from Harvard in 1950. He received a medical degree from Columbia University’s College of Physicians and Surgeons in 1954. A 1972 Time magazine cover profile said he became interested in psychiatry as “the most philosophical of the disciplines” — and besides, he found he was unnerved when children cried when being vaccinated.

He acknowledged that he and his own family lived well, telling The New York Times in 1997, “It makes me uncomfortable, seeing the disparities between the world I document and the world I inhabit.”

His wife died in 1993. They had three sons.